Expenditures of Ukrainian state budget's general fund up 7.1% YoY in Q1 2026

MOSCOW. April 22 (Interfax) - The cash expenditures of the Ukrainian state budget's general fund increased by UAH 60.5 billion, or 7.1% year-on-year to UAH 916.4 billion in Q1 2026, Ukrainian media reported, citing data from the Finance Ministry and the State Treasury Service.

The general fund's expenditures grew by UAH 51.4 billion, or 16.2% year-on-year to UAH 369.1 billion in March 2026.

Security and defense spending amounted to UAH 570.9 billion in Q1, accounting for 62.3% of all general fund expenditures, including UAH 243.5 billion in March, or 66% of all general fund expenditures.

Expenditures on salaries and benefits in the public sector increased by UAH 58.9 billion, or 16.9% year-on-year to UAH 408.4 billion in Q1 2026. Social security expenditures grew by UAH 10.6 billion, or 6.7% year-on-year to UAH 169.5 billion.

Public debt servicing in Q1 2026 increased by UAH 6.5 billion, or 11.2%, costing the general fund of the Ukrainian state budget UAH 65 billion in Q1. Transfers to local budget grew by UAH 16.3 billion, or 42.2% to UAH 54.9 billion.

Meanwhile, payments for goods and services decreased from UAH 111.3 billion to UAH 98.3 billion in January-March 2026, expenses on subsidies and ongoing transfers to enterprises declined to UAH 108.6 billion from UAH 122.4 billion.

In March 2026, expenditures on salaries in the public sector stood at UAH 148 billion versus UAH 120.1 billion in March 2025, social security expenditures increased to UAH 63 billion from UAH 50.5 billion, public debt servicing increased to UAH 15.6 billion from UAH 11.3 billion, and transfers to local budgets stood at UAH 18.7 billion versus UAH 13.4 billion in March 2025.

Payments for goods and services went up to UAH 47.8 billion from UAH 41.1 billion in March 2026, while subsidies and ongoing transfers to enterprises fell to UAH 69.9 billion from UAH 74.9 billion.

The Finance Ministry said earlier that the revenues of Ukraine's state budget amounted to UAH 1.02 trillion in January-March 2026, including its general fund's revenues of UAH 734.6 billion, which is 10.2% and 26.3% more than the respective figures in January-March 2025.

The general fund's cash expenditures went up by 7.1% year-on-year to UAH 914.8 billion. Meanwhile, the budget's total expenditures, including the expenditures of the special fund, declined 1.1% to UAH 1.15 trillion.

Ukraine's 2026 state budget was adopted with revenues (excluding grants) of UAH 2.9 trillion and expenditures of UAH 4.77 trillion, including UAH 2.61 trillion and UAH 4.38 trillion in the general fund.